Published on: 2017-10-13T13:57:33+00:00
The email conversation on the Bitcoin-dev mailing list covers a wide range of topics related to Bitcoin. One important topic discussed is the relationship between mining infrastructure and the price of Bitcoin. ZmnSCPxj argues that mining follows price, while Ilansky believes the opposite. However, it is noted that biases away from ZmnSCPxj's viewpoint reveal the need for a more responsive difficulty algorithm.The discussion then turns to the possibility of a fork clone using a faster difficulty to attack Bitcoin's slow difficulty if it reaches a comparable price. This would lower the value of Bitcoin until it forks to fix the difficulty. It is emphasized that hardforks require massive coordination efforts that cannot be feasibly done within a month. The current price ratio suggests that there is no immediate need for a new difficulty algorithm.The email conversation also explores the deflationary nature of Bitcoin and the potential for it to become a constant value coin. The role of good developers in determining the long-term value of Bitcoin is highlighted, along with the importance of miners, hodlers, and users. The idea of using a faster responding difficulty to prevent miners from bullying smaller coins is discussed, but the risks of hardforks are also acknowledged.Lastly, the debate centers on whether increasing the quantity of the coin is necessary to maintain a constant value and the potential economic distortions this may cause. It is argued that expanding the coin quantity is needed to keep the value constant, which goes against the conception of Bitcoin as having a fixed limit and becoming deflationary. However, it is noted that hardforks require significant coordination efforts and that fewer back-incompatible changes to a coin are generally preferable.Overall, the email conversation provides valuable insights into various factors that impact Bitcoin's ecosystem and its future trajectory. The discussion touches on mining infrastructure, difficulty algorithms, deflationary qualities, the role of developers, and the implications of expanding the coin quantity.
Updated on: 2023-08-01T22:02:51.308029+00:00